Strong sales at Renshaw and Hayden’s Bakeries has helped parent company the Real Good Food Company (RGFC) achieve “good trading progress” over the six months to 30 June, 2010.
RGFC’s bakery ingredients business Renshaw has continued to see growth in volumes and profitability at levels well above management expectations, reported the firm, with sales up 14% year-on-year.
Hayden’s Bakeries, which manufacturers sweet bakery products, saw overall sales up 20% for the half year period, following a restructure of the management team.
However, turnover at the group’s sugar business Napier Brown was impacted by lower market prices for sugar. The firm said that the tightening of sugar supply was expected to lead to a recovery in pricing levels at the start of the new contract season in October.
As mentioned in the firm’s previous trading update, its sugar business is in a transitional year following the EU sugar regime changes, and has experienced significant pressure on retail prices. Executive chairman Pieter Totté said Napier Brown was “poised to benefit from a long-awaited turn-around in the sugar market, following the EU-led cuts in supply levels”.
* See feature in July 30 British Baker on the revival of Hayden’s Bakery.